Reference no: EM131557412

Question: INVESTMENTS-ASSET ALLOCATION Ashley has earmarked at most $250,000 for investment in three mutual funds: a money market fund, an international equity fund, and a growth-and-income fund. The money market fund has a rate of return of 6%/year, the international equity fund has a rate of return of 10%/year, and the growth-andincome fund has a rate of return of 15%/year. Ashley has stipulated that no more than 25% of her total portfolio should be in the growth-and-income fund and that no more than 50% of her total portfolio should be in the international equity fund. To maximize the return on her investment, how much should Ashley invest in each type of fund? What is the maximum return?